Starbucks Paying for College

The strategy also opens up further career opportunities at the brand.

Starbucks Paying for College

Will a barista with a college degree want to remain a barista? This is the question being asked on the back of Starbuck’s proposed plan to pay for its employees to receive two years of online tuition at Arizona State University.

Research shows that 70% of Starbuck’s 135 000 US employees don’t have undergraduate degrees despite being eligible. What’s more, employees aren’t required to stay with the company after receiving their degrees.

CEO Howard Schultz isn’t concerned this will lead to a mass exodus upon graduation.

“This is an investment in our people, the most valuable asset Starbucks has,” he says. The strategy also opens up further career opportunities at the brand.

“The approximate $30 000 cost of two years of tuition is worth it to keep quality employees with the company. To achieve the expected level of customer service, it needs bright workers who are there for the long term. Even if they do leave, Starbucks will have contributed something to the US economy.

Tracy Lee Nicol
About the Author
Tracy-Lee Nicol is the managing editor of Franchise Zone Magazine and deputy editor of Entrepreneur Magazine. She studied her Masters degree in Art History and Visual Culture at Rhodes University and spent the next two years working and travelling in Asia. Her love of people, business and teaching is reflected in telling the stories of entrepreneurs, franchisees and franchisors, inspiring others to take the leap to being their own boss and bringing about positive change in South Africa.

Related Articles

© Franchise Zone / Entrepreneur Media SA (Pty) Ltd. All rights reserved.

Disclaimer: Reliance on the information this site contains is at your own risk. Readers are advised to consult their attorney and/or financial advisor prior to pursuing any investment. Please read our Editorial Disclaimer and Terms & Conditions of Use.

Is this information out of date or incorrect? Report it to our webmaster.

Leave a Reply